Marel Food Systems Q4 2009 results
04 Feb 2010
The Financial Statement for Marel for the year 2009 was presented to the company's Board of Directors at a meeting on 4 February 2009. Marel has presented the highlights of its operational results for 2009, financial position at year end and cash flow for the period. The Financial Statement has not yet been approved by the Board of Directors or the company's auditors. The audited Financial Statement for 2009 will be presented to the Board for approval on 9 February 2010 and released on that date. This is done in accordance with the rules and regulations of NASDAQ OMX Iceland hf.
Update on 9 February 2010:
Marel 2009 results
”New” Marel ready for 2010
- Revenues from core business for 2009 amounted to EUR 434.8 mln, gradually increasing during the year. EBIT from core business was EUR 24.8 mln, or 5.7% of sales.
- In 2009, Marel continued to strengthen its competitive position with a focus on integration and significant cost reductions, which have reduced operational costs by EUR 25 million.
- Net interest bearing debt has been reduced to EUR 295 million [2008: EUR 379 million] with strong operating cash flow, successful equity issues and increased focus with the sale of non-core operations.
- In order to maintain its technological leadership, Marel continues to place high priority on research and development.
- The order book has been growing throughout the year and is at a solid and much better level today than it was one year ago, which will positively affect revenues and results.
- The strategic focus has been sharpened with the sale of non-core operations.
Q4 2009 results
Focus strategy executed and equity increased
- Revenues from core business for Q4 2009 totalled EUR 112.5 mln [Q4 2008: EUR 121.4 mln].
- EBITDA from core businesses was EUR 12.8 mln, or 11.3% of sales [Q4 2008: EUR 0.7 mln; 0.6% of sales].
- EBIT from core business was EUR 6.9 mln, or 6.2% of sales [Q4 2008: EUR (5.7) mln; -4.7% of sales].
- The financial risk profile has dramatically improved with the issuance of new shares for EUR 41 mln, with EUR 32 mln of the proceeds used to pay down ISK-denominated bonds, and a currency conversion of ISK debt of EUR 66 mln into Euro-denominated debt.
- Integration plans are being implemented; re-branding and the integration of distribution channels has begun and new products are being developed based on joint technology.
- Consolidated revenues for Q4 2009 amounted to EUR 135.7 mln [Q4 2008: EUR 150.5 mln].
- Consolidated EBITDA was EUR 12.0 mln in Q4 2009 [Q4 2008: EUR 8.6 mln] and consolidated operating profit (EBIT) was EUR (19.6) mln [Q4 2008: EUR (7.4) mln].
- Net result was EUR (23.0) mln for Q4 2009 [Q4 2008: EUR (23.7) mln), caused by the impairment of the non-core assets to be sold.
- Food & Dairy Systems, a non-core operating unit, was sold in January 2010. Impairment of the assets sold leads to a loss of EUR 16.4 mln, which has been included in the 2009 accounts.
- Carnitech A/S, a non-core operating unit, is held for sale. Impairment of the assets leads to a loss of EUR 8 mln, which has been included in the 2009 accounts.
- Net interest bearing debt was EUR 295 mln [2008: EUR 379 mln].
For further information, please contact:
Erik Kaman, CFO,
tel: (+354) 563-8072
Sigsteinn Grétarsson, Managing Director of Marel ehf.,
tel: (+354) 563-8072